Lightspeed India Raises US$275 million For ‘Lightspeed India Partners III’

The venture capital firm has raised the fund with commitment from global institutional LPs 

Lightspeed India Partners announced the close of its third investment fund for early, seed, and Series A investments, ‘Lightspeed India Partners III,’ after raising US$275 million in committed capital from Limited Partnerships (LPs), the company announced in a press release dated August 17.  

This is the Silicon Valley-based company’s third India-focused fund. In 2015, Lightspeed raised its first India-dedicated fund of $135 million, followed by a second fund of $175 million in 2018. The new capital will be deployed in the last quarter of 2020, according to an Economic Times report

According to the company statement, Lightspeed will use this fund to assist entrepreneurs in disrupting markets and excelling in the startup ecosystem. The firm focuses on the Enterprise and Consumer sectors, but did not provide details pertaining to how this fund would be used. 

Focused on early stage seed and Series A investments, Lightspeed India has invested over US$750 million in the country since its inception in 2007, and provided a foundation for the growth of leading companies, including OYO, BYJU’s and Udaan. The company has joined hands with startups in early stages, some in their pre-product or pre-traction stages previously, and supports them throughout their growth lifecycles. 

Lightspeed invested US$20 million in Yellow Messenger, a cloud platform, in April earlier this year. Its most noteworthy exits include Oyo, which yielded US$ 850 million for the company, and Byju’s, which allowed the company to raise US$70-80 million. Other exits include ItzCash,  which was acquired by Ebix to become Ebixcash, and Tutor Vista, which was acquired by Pearson. 

Lightspeed believes that in the light of COVID-19, establishing a company has become significantly tougher, and remains committed to its cause of supporting founders in India by leveraging its global network, customer partnerships, talent acquisition skills, and growth capital. With a capital pool of over US$3 billion raised in global funds, the company aims to assist entrepreneurs in developing groundbreaking ideas to build companies of the future. 

Lightspeed India Vice President Shuvi Shrivastava has previously said that “the biggest barriers to success are internal” and that she “derive[s] a lot of meaning from helping founders overcome their fears and self-doubt to dream bigger.” 

India has the third-largest startup ecosystem globally, following only the U.S. and China. Its digital ecosystem is rapidly growing, encouraging the emergence of new ventures and business models in the country. 

With the belief that startups in the country are still lacking broader operational support from VCs, Lightspeed has expanded its Lightspeed India Advisors partnership over the past few years to include investors based out of Delhi and Bengaluru, who bring a wide range of skills, experiences, and qualifications to the table. 

Lightspeed India has also broadened its portfolio service teams in areas such as executive recruiting, marketing, and customer introductions. Furthermore, the global Lightspeed platform, with professionals across India, Silicon Valley, Israel, China, Southeast Asia and Europe, provides companies and advisors with an international perspective as well as expansion opportunities. 

In addition to Lightspeed, a number of venture capital funds are investing in India, such as Roots Ventures and 100X VC. The Government of India provides startups in the country with substantial support by means of schemes in various sectors, attracting major investments such as Google’s plan to invest US$10 billion over the next few years.

SHARE THIS STORY

Share on facebook
Share on twitter
Share on linkedin
Share on email

RELATED POSTS

How Can Your Company Become More Energy-Efficient

How Can Your Company Become More Energy-Efficient?

Countries and companies are consuming too much energy today. The abrupt power cuts in China are a testimony to that. The country was forced to cut power across factories and towns to meet their energy goals. Energy efficiency—using less energy to do more—does not have to be this challenging and cumbersome, not for large corporations or startups.

Cyberport Venture Capital Forum

How Will Humans and Technology Interact in the Next Decades?

While the world has witnessed a rapid digitalization of our everyday life in the course of the pandemic, attention has been brought to the debate that has long been around–how should humans and technology interact? And how do we prepare for new developments? In response to this, Dr. David Siegel, Co-Chairman and Co-Founder of financial sciences company Two Sigma.

Top 5 NFT Scam

Top 5 NFT Scam

From art pieces like EVERYDAYS: THE FIRST 5000 DAYS by Mike Winkelmann to cryptopunks and memes like Side-eyeing Chloe, the popularity of Non-Fungible Tokens (NFT) has been on the uptick. They have also been blowing up in value in 2021. NFT sale volumes have surged eightfold, reaching US$10.7 billion in the third quarter of 2021.

What Brands Must Know About China’s Evolving Millennial Buyers

What Brands Must Know About China’s Evolving Millennial Buyers

Earlier this year, climate activist Greta Thunberg called out fast fashion consumers during an interview with a fashion magazine. She said, “If you are buying fast fashion, then you are contributing to that industry and encouraging them to expand and encouraging them to continue their harmful process.”

What Is Femtech and Are Femtech Companies on the Rise

What Is Femtech and Are Femtech Companies on the Rise?

Women’s needs have been largely neglected for years. They get fewer job opportunities, excessive household work, subpar pay and little healthcare attention. Well, no more. The rise of FemTech startups (largely women-run) is changing the healthcare landscape for women. As per a report by CBInsights, FemTech will be worth US$50 billion by 2025. So, what is FemTech, and how can you get started?